OPINION AND ORDER
This matter is before the Court on a motion for summary judgment filed by plaintiff World Fuel Services Trading, DMCC (“Plaintiff” or ‘WFS DMCC”), a cross-motion for summary judgment filed by claimant Hebei Prince Shipping Company, Ltd. (“Claimant” or “Prince”), and a motion by Claimant seeking additional discovery pursuant to Fed.R.Civ.P. 56(d). The Court conducted a hearing on the summary judgment motions on March 27, 2014. For the reasons discussed below, Claimant’s Rule 56(d) motion is DISMISSED AS MOOT, Claimant’s cross-motion for summary judgment is DENIED, and Plaintiff’s motion seeking summary judgment is GRANTED.
I. FACTUAL BACKGROUND AND PROCEDURAL HISTORY
A. The Fuel Bunker Transaction
Tramp Maritime Enterprises Ltd. (“Tramp”), located in Greece, chartered the M/V HEBEI SHIJIAZHUANG (“the vessel”), registered in Hong Kong, from Claimant, located in China, for three consecutive time charters between May 23, 2012 and November 8, 2012. Bunkerfuels Hellas, located in Athens, Greece, provides marketing and promotion services to Greek vessel operators and owners on behalf of Plaintiff, a bunker fuel provider located in Dubai, United Arab Emirates. Heijmen Decl. ¶¶ 4, 5, 9, ECF No. 48-2. On October 22, 2012, Tramp sent an email to Aristides P. Vogas (“Vogas”), an employee of Bunkerfuels Hellas, for the purpose of obtaining a price quotation for fuel bunkers to be delivered to the vessel on or about October 27, 2012 at the port of Khor Fakkan, United Arab Emirates. Claimant’s Ex. 8, ECF No. 39-8. Later that same day, Vogas sent an email to Tramp,
All sales are on the credit of the vsl. Buyer is presumed to have authority to bind the vsl with a maritime lien. Disclaimer stamps placed by vsl on the bunker receipt will have no effect and do not waive the seller’s lien. This confirmation is governed by and incorporates by reference seller’s general terms and conditions in effect as of the date that this confirmation is issued. These incorporated and referenced terms can be found at www.wfscorp.com. Alternatively; you may inform us if you require a copy and same will be provided to you.
Id.
The website located at www.wfscorp.com is the website for World Fuel Services Corporation (“WFS Corp.”), the United States parent corporation of WFS DMCC. A document titled “The World Fuel Services Corporation Marine Group of Companies General Terms and Conditions” is located on the “Marine Solutions” sub-page of WFS Corp.’s website, and can be accessed by clicking the “Marine” menu item at the top of the web page located at www.wfscorp.com and then clicking the “Marine Terms & Conditions” link at the bottom of the web page. The first paragraph of the document states, “the following terms of sale and supply shall constitute the General Terms and Conditions (‘General Terms’) of the World Fuel Services Corporation Marine Group of companies (collectively, ‘World Fuel Services’).” ECF No. 80-4 at 1. The document identifies a list of twelve companies comprising the “Marine Group of companies,” “which includes, but is not limited to, World Fuel Services, Inc.; World Fuel Services Europe, Ltd.; World Fuel Services (Singapore) Pte. Ltd.; [nine other companies] and their respective trade names, subsidiaries, affiliates and branch offices.” Id. The document further provides that the “list includes all subsidiaries of World Fuel Services Corporation who have sold, are selling or will sell petroleum products and services, whether or not in existence on the effective date.” Id.
The “Credit and Security” section of the General Terms provides, in pertinent part:
Products supplied in each Transaction are sold and effected on the credit of the Receiving Vessel, as well as on the promise of the Buyer to pay, and it is agreed and the Buyer warrants that the Seller will have and may assert a maritime lien against the Receiving Vessel for the amount due for the Products delivered.... Disclaimer of lien stamps placed on a Bunker Delivery Receipt shall have no effect towards the waiver of such lien.
All sales made under these terms and conditions are made to the registered owner of the vessel, in addition to any other parties that may be listed as Buyer in the confirmation. Any bunkers ordered by an agent, management company, charterer, broker or any other party are ordered on behalf of the registered owner and the registered owner is liable as a principal for payment of the bunker invoice.
The General Terms and each Transaction shall be governed by the General Maritime Law of the United States and, in the event that the General Maritime Law of the United States is silent on the disputed issue, the law of the State of Florida, without reference to any conflict of laws rules which may result in the application of the laws of another jurisdiction. The General Maritime Law of the United States shall apply with respect to the existence of a maritime lien, regardless of the country in which Seller takes legal action.... Seller shall be entitled to assert its rights of lien or attachment or other rights, whether in law, in equity or otherwise, in any country where it finds the vessel.
Id. at 12.
On October 29, 2012, APSCO delivered the bunkers at issue to the vessel in the port of Khor Fakkan and provided the vessel’s chief engineer with two “Bunker Delivery Note[s]” reflecting the amount of fuel delivered to the vessel. See ECF Nos. 1-1 and 1-2. The chief engineer signed each Bunker Delivery Note and stamped them with the following “no lien” language: “Bunkering Services and the bunkers are ordered solely for the account of Charterers and not for Owners. Accordingly no lien or other claims whatsoever against the Vessel or her owners can arise.” Id.
B. The Vessel’s Arrest
On April 4, 2013, Plaintiff filed a Verified Complaint with this Court, alleging that, “[djespite repeated demands for payments for the amounts due for the fuel oil and marine gas oil provided, Tramp ... and the [vessel] have failed to pay and refused to pay the amounts due.” Compl. ¶ 15, ECF No. 1. Plaintiff asserted that, because Tramp and the vessel owed Plaintiff “the sum of $809,420.50,” Plaintiff had “a maritime lien on the [vessel] for the unpaid balance due of $809,420.50 for necessaries provided to the vessel, pursuant to 46 U.S.C. §§ 31341 and 31342. Id. ¶¶ 19, 20. Along with the Verified Complaint, Plaintiff filed a Motion for Issuance of Warrant of Maritime Arrest, pursuant to Supplemental Admiralty Rule C, for arrest of the vessel, which was expected to arrive in the Eastern District of Virginia within the next fourteen days. ECF No. 3. After reviewing the Verified Complaint and accompanying documents, the Court granted Plaintiffs motion and issued an Order for Issuance of Warrant of Maritime Arrest. ECF No. 4. The vessel was arrested on or about April 8, 2013. On April 10, 2013, the Court entered a joint stipulation filed by Plaintiff and Claimant, agreeing that Plaintiff would release the vessel from arrest in exchange for a cash bond deposited by Claimant with the Court in the amount of $850,000. ECF No. 11.
C. Procedural History
Plaintiff filed its motion for summary judgment on December 17, 2013, alleging that it is “entitled to a maritime lien on the vessel” and requesting that the Court “allow Plaintiff to execute its maritime lien and collect that sum owed by the Vessel.” PL’s Mot. Summ. J. at 1, ECF No. 29. On January 15, 2014, Claimant filed a brief opposing Plaintiffs motion, alleging that the Court “lacks subject matter jurisdiction,” that “there are genuine issues of material fact regarding the contractual privity between plaintiff and the parties and property,” and that Plaintiff “does not have an in rem lien on the narrow facts of this case.” Claimant’s Br. in Opp’n at 1-2, ECF No. 39. Plaintiff filed its reply brief on February 6, 2014. ECF No. 48.
Claimant filed its cross-motion for summary judgment on March 10, 2014, assert
II. STANDARD OF REVIEW
The Federal Rules of Civil Procedure provide that a district court shall grant summary judgment in favor of a movant if such party “shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.” Fed.R.Civ.P. 56(a). The mere existence of some alleged factual dispute between the parties “will not defeat an otherwise properly supported motion for summary judgment; the requirement is that there be no genuine issue of material fact.” Anderson v. Liberty Lobby Inc.,
If a movant has properly advanced evidence supporting entry of summary judgment, the non-moving party may not rest upon the mere allegations of the pleadings, but instead must set forth specific facts in the form of exhibits and sworn statements illustrating a genuine issue for trial. Celotex Corp. v. Catrett,
III. DISCUSSION
A. Claimant’s Rule 56(d) Motion
Plaintiff filed its summary judgment motion on December 17, 2013. On January 16, 2014, when Claimant filed its response to Plaintiffs summary judgment motion, Claimant asserted that Plaintiff had “pro
The Court observes that the date for the completion of discovery has since passed and Claimant has filed its own motion for summary judgment, accompanied by sworn declarations, excerpts from depositions, and copies of Plaintiffs responses to Claimant’s discovery requests. ECF No. 64. In addition, both the Magistrate Judge assigned to this case and this Judge have addressed several issues regarding proposed amendments to certain filings in this case. Furthermore, Claimant makes no assertion in its own cross-motion for summary judgment that any discovery is still yet to be completed. Accordingly, having received no indication that the parties have failed to comply with the Rule 16(b) Scheduling Order in this case, or their obligation to work together to prepare this case for trial, the Court DISMISSES AS MOOT Claimant’s Rule 56(d) motion seeking additional time to complete discovery.
B. Summary Judgment Motions
Plaintiff asserts that it is entitled to summary judgment because the undisputed facts establish that 1) the vessel, through time-charterer Tramp, entered into an agreement to purchase fuel bunkers from Plaintiff, 2) the agreement, through incorporation by reference of Plaintiffs terms and conditions located on its website, “contains an explicit choice of law provision selecting United States law,” and 3) Plaintiff is entitled to a maritime lien against the vessel under “the Federal Maritime Lien Act” (“FMLA”), which “provides liens by bunker suppliers against a vessel.” Pl.’s Br. Supp. Summ. J. at 7-10, ECF No. 30. Claimant disagrees, asserting that it is entitled to summary judgment because 1) neither Plaintiff, Claimant, nor the vessel were parties to the agreement, 2) the agreement is not governed by United States law, and 3) even if the agreement is governed by United States law, the general maritime law of the United States referenced in the General Terms does not include maritime statutes such as the FMLA. Furthermore, Claimant alleges, 4) because Plaintiff had actual notice of its anti-lien agreement with Tramp, Plaintiff is not entitled to a maritime lien, regardless of which country’s law governs the agreement. Because the grounds for Claimant’s cross-motion for summary judgment are the same as its defenses to Plaintiffs motion for summary judgment, and because the Court grants Plaintiffs motion and denies Claimant’s cross-motion, the Court is required to “ ‘resolve all factual disputes and any competing, rational inferences in the light most favorable’ to [Claimant,] the party opposing [Plaintiffs] motion.” Rossignol,
1. Law Governing Contract Formation
Claimant asserts that, before determining the validity of the choice-of-law provision located in the General Terms, “the Court must first evaluate whether the contractual provision providing for the application of U.S. law is valid under the law of the country in which the contract was formed.” Claimant’s Br. Supp. Summ. J. at 24-25, ECF No. 66. Claimant further contends that the contract formation issues in this case are governed by
The United States Court of Appeals for the Fourth Circuit has recognized that, “absent compelling reasons of public policy, a choice-of-law provision in a maritime contract should be enforced.” Triton Marine Fuels Ltd., S.A. v. M/V PACIFIC CHUKOTKA
Generally, in order to determine which country’s law to apply to a certain issue, “federal courts sitting in admiralty [should] apply maritime choice-of-law principles derived from the [United States]
2. Parties to the Contract
Claimant argues that Plaintiff, because it “neither arranged nor performed any contract,” was not “in privity of contract with any other party to the transaction” between Tramp and Bunkerfuels Hellas “under either Greek or U.S. law.” Claimant’s Br. Supp. Summ. J. at 2, 9, ECF No. 69. Plaintiff disagrees, arguing that the undisputed evidence shows that Plaintiff was the “seller” and that Vogas, an employee of Bunkerfuels Hellas, simply “serve[d] as broker on behalf of Plaintiff” to arrange the transaction between Tramp and Plaintiff. PL’s Br. in Opp’n at 3, ECF No. 79.
Under Greek law, a principal may “knowingly allow[ ] the [agent] to contract with third parties as if he were the [principal’s] agent or representative.” Nassikas Decl. at 7, ECF Nos. 39-4, 66-19. Furthermore, if an agent “alleges that he is transacting business on the [principal’s] behalf and the [principal], although aware of the [agent’s] conduct, takes no steps to put a stop to it, this suffices very much for the [Greek] doctrine of ostensible
Plaintiffs Verified Complaint
In its opposition to Plaintiffs summary judgment motion, Claimant presents no “specific facts,” supported by “depositions, answers to interrogatories, [or] admissions on file,” illustrating “that there is a genuine issue for trial,” Celotex, 477 U.S. at
The Court finds Claimant’s allegations of a lack of privity between Plaintiff and Tramp insufficient to create a genuine issue of material fact. Anderson,
3. Incorporation by Reference of the General Terms
Claimant also argues that the bunker confirmation failed to incorporate by reference Plaintiffs General Terms located on WFS Corp.’s website because Tramp neither had reasonable notice of Plaintiffs General Terms nor manifested its assent to the General Terms. Specifically, Claimant contends that, under Greek law, the General Terms were not validly incorporated into the bunker confirmation because they were not located at the exact website address indicated on the bunker confirmation and, in any event, the General Terms failed to name Plaintiff as a company covered by such General Terms. Plaintiff disagrees, arguing that 1) Claimant’s own evidence establishes that “Greek law [does not] prohibit[] incorporation of contract terms by reference to an additional document,” 2) the requirement of “two additional clicks” to reach the General Terms on WFS Corp.’s website did not deprive Tramp of “reasonable notice of the [General Terms],” and 3) “the very language of the [General] Terms” indicates that the list of companies is “not intended to be ex
According to the sworn declaration of Mr: Nassikas, submitted by Claimant, “Greek law will respect any choice of law made by the parties to the contract, provided such choice is either made expressly or can be clearly ascertained by interpreting their agreement.” Nassikas Decl. at 9, ECF Nos. 39-4, 66-19 (citing European Union (EU) Regulation No. 593/2008, Art. 3(1)). Mr. Nassikas further asserts that, under Greek law, “a U.S. choice of law term [would] be valid if it was expressly stated on the face of a contract,” but in order for “such a term [to] be incorporated by reference to a website,” the “reference to [the] website” should be drafted in “a clear, plain and explicit way.” Id. at 10-11. In response, Plaintiff offers the sworn declaration of Paris Karamitsios, a Greek attorney specializing in “shipping and transportation law.” Karamitsios Decl. at 1, ECF No. 48-1. Mr. Karamitsios asserts that, under Greek law, “in order for general terms and conditions to apply-to the contract, [Tramp] must have obtained knowledge of the contents of such terms or must have been given the opportunity to obtain knowledge thereof.” Id. at 5 (citing, inter alia, the United Nations Convention on Contracts for the International Sale of Goods Arts. 8, 14-24 (Vienna, 1980), which was “ratified by Greece by way of law 2532/1997”).
It is undisputed that the actual website address of the General Terms is www. wfscorp.com/Marine/pdfiMarine-Terms.pdf and that a person must click two additional links to reach the General Terms from WFS Corp.’s home page at www.wfscorp. com. In addition, the bunker confirmation expressly directs the recipient to “inform us if you require a copy [of the General Terms] and same will be provided to you.” Compl. Ex. 3, ECF No. 1-3. The Court finds that the bunker confirmation validly incorporated the General Terms under both of the Greek standards asserted by Claimant and Plaintiff. Mr. Nassikas opined that the reference to the General Terms located at www.wfscorp.com “lacks, per se, the necessary clarity and explicitly [sic],” because the “term cannot immediately be found” at the website address provided on the bunker confirmation. Nassikas Decl. at 11, ECF Nos. 39-4, 66-19. However, the Court disagrees with Mr. Nassikas’s opinion and finds that the bunker confirmation was sufficiently clear and explicit to direct Tramp — as well as anyone else who received the bunker confirmation — to the General Terms. See, e.g., One Beacon Ins. Co. v. Crowley Marine Servs.,
4. Companies Covered by General Terms
Claimant argues that, because the General Terms do not specifically identify Plaintiff as an entity covered by the General Terms, such General Terms “are not
Plaintiff submitted a copy of the General Terms located at WFS Corp.’s website. Compl. Ex. 5, ECF No. 1-5. Although it is true that the General Terms do not specifically name Plaintiff as one of the “Marine Group of companies,” the General Terms specify that the “Marine Group of companies ... includes, but is not limited to ” the named companies&emdash;of which WFS Corp. is one&emdash;“and their respective trade names, subsidiaries, affiliates and branch offices.” Id. (emphases added). The undisputed evidence shows that Plaintiff is a subsidiary of WFS Corp. Furthermore, the General Terms cover “all subsidiaries of [WFS Corp.] who have sold, are selling or will sell marine petroleum products and services, whether or not in existence on the effective date.” Id. (emphasis added). Thus, it is clear that the General Terms apply to Plaintiff, a subsidiary of WFS Corp. and a seller of marine petroleum products and services. In any event, the bunker confirmation directs the reader to the General Terms, and this indicates that Plaintiff had adopted those terms as its own, regardless of whether Plaintiff was identified by name in the General Terms. Accordingly, the Court finds no genuine issue of material fact regarding whether the General Terms located on WFS Corp.’s website applied to Plaintiff and the agreement between Plaintiff and Tramp.
5. The “General Maritime Law of the United States”
Claimant next argues that, even if the General Terms were validly incorporated by reference into the bunker confirmation, the choice-of-law provision limits the governing law to “the General Maritime Law of the United States,” which Claimant asserts does not include United States maritime statutes, such as 46 U.S.C. §§ 31341 and 31342, under which Plaintiff brings this action. Claimant’s Br. in Opp’n at 14-15, ECF No. 39; see also Claimant’s Br. Supp. Summ. J. at 21 n. 7, ECF No. 66 (incorporating by reference Claimant’s argument in its brief opposing Plaintiffs motion for summary judgment). Plaintiff disagrees, asserting that “the phrase general maritime law simply indicates that it is the maritime statutes and case law that are applicable.” Pl.’s Reply Br. at 3 n. 2, ECF No. 48. Plaintiff contends that, because the parties “agreed that U.S. law should govern the transaction,” “this Court must apply 46 U.S.C. § 31342.” Id. at 3. However, Claimant points out that Plaintiff did not choose United States statutory law to govern the agreement with Tramp&emdash;it chose “only ‘the general maritime law of the United States,’ and not the entirety of U.S. law.” Claimant’s Br. in Opp’n at 15, ECF No. 39.
The general maritime law “stems from the maritime jurisprudence of the federal courts” and “ ‘is an amalgam of traditional common law rules, modifications of those rules, and newly created rules.’ ” 1 Thomas J. Schoenbaum, Admiralty & Mar. Law § 5-1, at 248 (5th ed.2011) (quoting E. River Steamship Corp. v. Transam. Delaval, Inc.,
“[Legislation has always served as an important source of both common law and admiralty principles.” Miles v. Apex Marine Corp.,
“[A]n admiralty court must be vigilant not to overstep the well-considered boundaries imposed by federal legislation.” Miles,
Before Congress enacted the Federal Maritime Lien Act of 1910, “[t]he state of the general maritime law on the imposition of contract liens on chartered vessels was conveniently summed up in two [United States Supreme Court] cases,” The Kate,
1) when a materialman either knows or could easily find out that a ship is under charter (The Kate) or, preferring ignorance to knowledge, “shuts his eyes” to obvious facts (The Valencia), he is put on inquiry as to what the charter contains;
2) a charter party term requiring the charterer to “provide and pay for” certain services is enough to defeat a lien for such services in favor of a material-man who was on inquiry as to what the charter party contained.
Id. at 672,
In 1971, however, Congress abolished the general maritime duty of a supplier, imposed under The Kate and The Valencia and preserved in the Federal Maritime Lien Acts of 1910 and 1920, to “inquire as to the presence and terms of a charter party.” 2 Benedict on Admiralty § 40, at 3-42 (7th ed.1998). Thus, under the current federal statute governing maritime liens,
even if [a supplier] is aware that the vessel with which he is dealing is under charter, he should not be charged with knowledge of the existence of any “no lien” clause absent affirmative evidence that he had received express notice from the owner or other reliable source that the vessel was not to be bound.
Id. (emphasis added); see also Ramsay Scarlett & Co. v. S.S. Koh Eun,
Of course, pre-1971 general maritime “principles are still important and in some situations are still controlling because the Federal Maritime Lien Act does not regulate the entire subject of maritime liens.” 2 Benedict, supra § 36, at 3-22 (citing 46 U.S.C. § 31342). However, the 1971 deletion of the duty-of-inquiry “statutory text” from the Federal Maritime Lien Act, Casey,
6. Existence of a Maritime Lien under 46 U.S.C. §§ 31341-42
Plaintiff alleges that it is entitled to a maritime lien under 46 U.S.C. §§ 31341 and 31342 because 1) Tramp had the “presumed authority to bind the vessel” when it ordered necessaries for the vessel, 2) Plaintiff “supplied the fuel” to the vessel, and 3) “no facts support that [Plaintiff] had actual knowledge” of the “prohibition of lien clause” in Tramp’s charter party.” Pi’s Br. Supp. Summ. J. at 10-11, ECF No. 30. Claimant argues that, assuming the transaction was governed by United States statutory law, the two no-lien stamps provided to Plaintiff under Tramp’s earlier charter party “gave actual notice that a maritime lien claim for bunkers was beyond [Tramp’s] actual or apparent authority.” Claimant’s Br. in Opp’n at 21-22, ECF No. 39; Claimant’s Br. Supp. Summ. J. at 68-69, ECF No. 66.
“[U]nder American law, a [maritime] lien arises to secure creditors who provide ‘necessaries’ — ‘supplies, repairs and equipment ... ordered on the credit of the ship and which are generally beneficial to the ship.’ ” Marine Oil Trading Ltd. v. Motor Tanker PAROS,
A maritime hen does not arise, however, “when necessaries are ordered by one without authority to bind the vessel” where the vessel owner can “ ‘show that the supplier of necessaries had actual knowledge of the existence of any lack of authority relied upon as a defense.’ ” Belcher Oil Co. v. M/V GARDENIA,
The parties do not dispute that the Federal Maritime Lien Act “pre-sum[es] that a charterer is authorized to procure necessaries for the ship.” Claimant’s Br. in Opp’n at 22, ECF No. 39. Nor is there any dispute that the fuel bunkers qualified as necessaries under the statute, see Marine Oil Trading,
Here, Claimant fails to show that there is a genuine issue of material fact as to whether Plaintiff “actually knew of a no hen clause in the charter party or other contract.” Am. Oil Trading,
IV. CONCLUSION
For the reasons set forth above, Claimant’s Rule 56(d) motion for additional time to complete discovery is DISMISSED AS MOOT, Claimant’s motion for summary judgment is DENIED, and Plaintiffs motion for summary judgment is GRANTED. The trial scheduled to commence on Tuesday, April 8, 2014, will be limited to the following “triable issues” indicated in the March 27, 2014 final pretrial order: “the total amount due to Plaintiff for which it has a maritime lien on the Vessel,” “whether Plaintiff is entitled to prejudgment interest,” and “whether Plaintiff is entitled to administrative charges, custodian legis expenses, attorney fees and interest.” ECF No. 85 at 21; see Triton Marine Fuels, Ltd. v. M/V Pacific Chukotka,
The Clerk is REQUESTED to send a copy of this Opinion and Order to all counsel of record.
IT IS SO ORDERED.
Notes
. Rule 44.1 of the Federal Rules of Civil Procedure provides: When “determining foreign law, the court may consider any relevant material or source, including testimony, whether or not submitted by a party or admissible under the Federal Rules of Evidence.” A party’s rights under foreign law may "be proved in several different ways, such as through an affidavit by a foreign legal expert or through an authoritative legal treatise or law review article.” 1 Thomas J. Schoenb-aum, Admiralty & Mar. Law § 9-8, at 737 n. 26 (5th ed.2011).
. Even if the Court were to alternatively apply the Triton standard, skip the Lauritzen analysis, and conclude that the United States choice-of-law provision controlled, as explained below, the Court would reach the same ultimate conclusion as it does when applying Greek law as to the formation of the contract.
. Because Plaintiff's Complaint contains a sworn declaration "based upon [the] personal knowledge and documents available to [the affiant],” ECF No. 1 at 6, the Verified Complaint may be considered for purposes of summary judgment just as any other sworn declaration submitted for summary judgment purposes. See Williams v. Griffin,
. The Federal Maritime Lien Act of 1910 was "subsequently amended in 1920 to cure an overly restrictive interpretation.” 2 Benedict on Admiralty § 37, at 3-22 (7th ed.1998) (citations omitted). "American federal maritime lien and mortgage law is now codified in the Commercial Instruments and Maritime Liens Act,” ("CIMLA”) at 46 U.S.C. §§ 31301-09, 31321-30, 31341-43. Tetley, supra, at 41 and n. 206.
